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The Trump administration is cutting billions of dollars for green energy projects, particularly in states that did not vote for President Trump.
The Energy Department announced late Wednesday it was cutting awards that funded 223 projects, axing about $7.56 billion in spending.
In a social media post ahead of the announcement, White House Office of Management and Budget Director Russell Vought announced the funding cuts would take place for projects in California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Minnesota, New Hampshire, New Jersey, New Mexico, New York, Oregon, Vermont and Washington state.
Vought, in his post, categorized the projects as “Green New Scam funding to fuel the Left’s climate agenda.”
All of those states went for former Vice President Kamala Harris in last year’s election, and most of them have Democratic governors.
However, a breakdown released by congressional Democrats indicates some of the canceled funds are for projects located in states that did not vote for Harris: Tennessee, South Carolina, North Dakota, Iowa and Florida.
The funding being canceled was slated to go to a variety of recipients. One particularly notable award is up to $1.2 billion that would go to advance hydrogen energy in California.
That money was awarded as one of several regional “hubs” funded by the Bipartisan Infrastructure Law to promote energy that comes from hydrogen atoms.
“In Trump’s America, energy policy is set by the highest bidder, economics and common sense be damned. Clean hydrogen deserves to be part of California’s energy future — creating hundreds of thousands of new jobs and saving billions in health costs,” said California Gov. Gavin Newsom (D), a likely 2028 presidential candidate, in a written statement. A press release from his office said the move threatens 200,000 jobs.
A major $1 billion in funding for hydrogen power in the Pacific Northwest was also canceled, but other hydrogen hubs in states including West Virginia and Pennsylvania appear to be untouched.
The cancellations come amid a government shutdown in which partisan tensions are particularly high. The Trump administration has been seeking to pressure Democrats to pass a bill to fund the government, including by threatening to fire federal workers. Meanwhile, Democrats are insisting on passing legislation aimed at bringing down healthcare costs along with any funding bill.
Among the companies losing funding are utilities such as Commonwealth Edison, Xcel Energy, Exelon, General Electric and Pacific Gas and Electric. Also losing out are companies that produce solar energy, electric vehicles and hydrogen power — among others.
In addition, funding is being canceled for the Gas Technology Institute, which has said it received significant government funding with the aim of reducing methane emissions from oil and gas production.
Sen. Martin Heinrich (N.M.), the top Democrat on the Senate’s Energy and Natural Resources Committee, called the Trump moves “nakedly political, unhinged, and unlawful” in a written statement.
“These are projects that Congress already approved and funded — projects that create jobs, lower electricity costs, and move our country forward. Instead of working to help our families and communities, the Trump Administration is tearing these projects down, driving up energy bills for families, and putting hardworking people in New Mexico and across the country out of work,” Heinrich said.
The Energy Department said in its press release that the 321 awards which would have gone to the 223 projects were being canceled after a “thorough, individualized financial review.”
Energy Secretary Chris Wright told Congress in May that previously-funded projects were being reviewed on a variety of criteria, including whether they align with the Trump administration’s agenda.
Now, Wright said in a written statement that the cancellations came as part of an effort to “protect taxpayer dollars.”
The department said that 26 percent of the awards it was cancelling were issued by the Biden administration between the election and President Trump’s inauguration – and that these awards alone were worth more than $3.1 billion.
It’s not clear what the administration will do with the funds it is clawing back, if anything. The department did not answer The Hill’s question about what would happen to the money.